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Number of Marginal benefit police officers (dollars from the last officer) N 8.00 7.20 6.40 5.60 4.80 4.00 3.20 27) Broomfield city council is deciding

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Number of Marginal benefit police officers (dollars from the last officer) N 8.00 7.20 6.40 5.60 4.80 4.00 3.20 27) Broomfield city council is deciding how many police officers the city needs. Broomfield's population is 10,000 people. The marginal cost of a police officer is $60,000 per year. The marginal benefit schedule of an average city resident from police protection is shown in the table above. Police protection is a public good. To support the efficient number of police officers, each resident of Broomfield will have to pay A) $36 B) $18 C) $6.40 D) $60 per year in taxes. Marginal Marginal Marginal Quantity private benefit private cost social cost (tons) (dollars per (dollars per (dollars per ton) ton ton) 1,000 140 50 80 2,000 120 60 90 3,000 100 70 100 4,000 80 80 110 5,000 60 90 120 6,000 40 100 130 28) The above table shows the marginal benefits and costs from production of fertilizer. There are no external benefits. If tax of the market is perfectly competitive and unregulated, the efficient level of output could be achieved by setting a per ton A) $80. B) zero. C) $30. D) $110. 29) The above table shows the marginal benefits and costs from production of fertilizer. There are no external benefits. If the market is perfectly competitive and unregulated, the equilibrium output will be A) 3,000 tons. B) 4,000 tons. C) 5,000 tons. D) 2,000 tons. 30) Which of the following will increase the wage rate? A) an increase in the adult population B) an improvement in technology that increases the marginal product of labor C) an increase in the retirement age D) Both answers A and B are correct. 31) Efficiency in the provision of a public good is achieved when its A) marginal social benefit equals its marginal social cost. B) average social benefit equals its average social cost. C) marginal social benefit equals zero. D) total social benefit equals its total social cost

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